FTAI Aviation Ltd - FXDFR PRF PERPETUAL USD 25 - Ser D

Q2 performance: strong Aerospace growth + Power progress; mixed company-wide - Aerospace Products: +78% YoY revenue growth, production +61% YoY (refurbished 296 CFM56 modules in Q2); Q2 Adjusted EBITDA $250m (+51% YoY, +12% QoQ) and ~29% EBITDA margin. - Total Q2 Adjusted EBITDA: $291.4m (Aerospace $249.7m; Aviation Leasing $88.2m; Corporate/Other -$46.5m due to start-up costs for Power). - Power (Mod-1): commercial launch remains on track for Q4; Mod-1 prototype testing is progressing “exceptionally” (Montreal testing first; now Miami/genset running; accumulating operating hours).

Key strategic shift in Aerospace: market share gains, but intentional “asset-light” reallocation reduces leasing near-term - Market share: up from 12% to 14% in Q2, with momentum expected to continue due to customer adoption of MRE (maintenance/repair/exchange) and time/cost savings. - Supply constrained (not demand constrained): company is prioritizing third-party module customers over its own leasing pool to maintain an asset-light balance sheet and improve economics. - Negative/drag: As a result of the reallocation, 2026 Aviation Leasing EBITDA is expected to be lower than prior guidance (investors should expect leasing to be smaller near-term).

Capacity expansion & footprint: new shops drive scale and network efficiencies - Module capacity: CFM56 module production capacity targeted to reach 3,000 modules/year (supports long-term ~25% market share objective). - 2026 production outlook raised: total 2026 module production expected at ~1,200 modules (was ~1,050 projected originally); first half already 566 modules, ahead of midyear target. - New strategic maintenance partnerships / expansions: - GMF AeroAsia (Jakarta, Indonesia) heavy repair/test capabilities; “majority owned by Garuda Group,” a key customer. - EgyptAir (Cairo) heavy repair/test cell focus on 7B; plan to strengthen Europe/Middle East network. - Expansion for Rome quick-turn test cell (CFM56 + LEAP testing capability), and Lisbon capacity expansion to drive >300 modules/year.